what repercussions for investors?

While it seems difficult to accurately predict the economic consequences of the health tensions we are experiencing, some agree that economic fundamentals were robust at the start of the crisis – exogenous – and that, unlike the financial crash Global 2008, this “Covid-19 episode” could be temporary and result in a V-shaped recovery. Without knowing exactly how long this epidemic will last, let’s try to assess the repercussions on real estate crowdfunding.

The property development sector is not and will not be supported by the Public Investment Bank, despite the current environment. However, the need for cash is significant: promoters and merchants of goods, promoters of real estate projects, must be able to cope with 6 to 12 months without entering a turnover. The initial selection of carriers is therefore very significant for the sustainability of the investment. For example, a “dedicated” project (the investment concerns a specific project, generally relating to a single real estate transaction), unlike corporate financing (financing of the promoter holding company either for its development needs, or for one or more projects real estate to come), is isolated by nature and, put into perspective, smaller in scale. In addition, it seems to include better flexibility in reducing fixed costs: a production halt will not necessarily mean a cash deficit.

>> To read: Do you know crowdfunding? What about real estate crowdfunding?

Delays in deliveries

Ongoing projects should not be affected by the “paralysis” of building permit authorizations. Indeed, to be able to be financed, it is commonly accepted that projects must have purged the recourse of third parties, have 50% of pre-marketing… On the other hand, we can clearly see there mark risk markers for operations which would not be in this framework (layout

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The incredible number of applications received to work in the fields
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“data-reactid =” 25 “>The incredible number of applications received to work in the fields
Call to strike in public services: “untimely” notice for the government
Job seekers will have to update themselves remotely from Saturday
Are we going to run out of pasta? Panzani’s boss answers
This interactive map shows which store is open during containment